Data Table 4 5 Product lines Laminate Wood flooring flooring Company Total $ 302,000 $ 136,000 $ 438,000 6 Sales revenue 7 Less: Variable expenses 158,000 86,000 244,000 8 Contribution margin $ 144,000 $ 50,000 $ 194,000 9 Less fixed expenses: 10 Manufacturing 75,000 61,000 136,000 11 Marketing and administrative 56,000 17,000 73,000 12 Operating income (loss) $ 13,000 $ (28,000) $ (15,000) Top managers of Pennsylvania Flooring are alarmed by their operating losses. They are considering dropping the laminate flooring product line. Company accountants have prepared the following analysis to help make this decision: B (Click the icon to view the analysis.) Total fixed costs will not change if the company stops selling laminate flooring. Read the requirements. Requirement 1. Prepare an incremental analysis to show whether Pennsylvania Flooring should discontinue the laminate flooring product line. Will discontinuing laminate flooring add $28,000 to operating income? Explain. (Enter a "0" in an input field if there is no expected change as a result of discontinuing the laminate flooring product in this scenario.) Total Incremental Analysis for Discontinuation Decision Contribution margin lost if laminate flooring product line is dropped Less: Fixed cost savings if laminate flooring product line is dropped Operating income if laminate flooring is dropped